New Carolin Gold Corp. Issues Clarification Regarding Targets

(TheNewswire)

Vancouver, BC / TheNewswire / October 19, 2018 - New Carolin Gold Corp. (the “Company” or “New Carolin”) (TSXV: LAD | OTCBB: LADFF): New Carolin announces that, although potential quantities and grades reported October 17, 2018 for its four near-mine targets at the Company’s 100% owned Ladner Gold Project were correct, the calculation of potential contained gold was in error and should be disregarded.  

The four targets are referred to as the Hozameen Zone, Aurum, Aurum Connector and Aurum Deep Targets (see Figure 1).

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Figure 1: 800 and 825 m RL Composite Plan Map showing Hozameen Zone and Aurum targets

The corrected potential quantities and grades of these conceptual exploration targets are summarized as follows:

* The calculation of the lower value of the potential Au was made by multiplying the lower value of the potential (conceptual) tonnage range by the upper value of the grade range.

** The calculation of the upper value of the potential Au was made by multiplying the upper value of the potential (conceptual) tonnage range by the lower value of the grade range.

The potential quantity and grade for the Hozameen zone, Aurum, Aurum Connector and Aurum Deep targets contained in this news release are conceptual in nature.  There has been insufficient exploration to define a mineral resource and it is uncertain if further exploration will result in the target being delineated as a mineral resource.

HOZAMEEN ZONE

The Hozameen Zone is characterized by a northwest-plunging, antiformal contact between strongly altered andesite volcanic rocks and the mine sequence metasedimentary rocks. Elevated gold grades encountered in hole 18NC10 include 5.00 m of 3.23 g/t (89.00 – 94.00 m) and 9.00 m of 5.04 g/t (63.00 – 72.00 m) and occur within andesite characterized by strong albite-ankerite alteration and wallrock sulphidation proximal to quartz veins. Historical drilling encountered similar or better grades (Table 1).

Table 1: Hozameen Zone recent and historical drill hole intercepts

The conceptual size of the tabular-shaped Hozameen Zone has been defined by recent and historical drill hole data and is exclusive of the 2012 resource estimate. A wireframe solid representing Hozameen Zone mineralization was generated based on cross section and plan interpretation. Using an average specific gravity of 2.78, and volume defined by the mineralized solid, the conceptual tonnage of the Hozameen Zone ranges from approximately 356,00 to 600,000 tonnes with gold grades within the solid range from 2.30 g/t Au, represented by drill hole assay results from a total of 337 samples contained within the mineralised domain, to 3.70 g/t Au, represented by ten composite drill hole intervals within the domain. The Hozameen zone remains open down plunge to the northwest and is a priority for the next drilling campaign.  The potential quantity and grade for the Hozameen zone is conceptual in nature.  There has been insufficient exploration to define a mineral resource and it is uncertain if further exploration will result in the target being delineated as a mineral resource.

AURUM & AURUM DEEP TARGETS

The Aurum Deep and Aurum targets are hosted by talc schist situated near a subvertical contact between mixed andesite and metasedimentary rocks and ultramafic rocks. The two targets are interpreted to occur within the same pseudo-stratigraphic position but 280 metres apart. The Aurum target was explored from 1920 to 1930 with minor underground development and gold production. The Aurum target was subsequently drilled in 1989. Drill hole intervals from the Aurum Deep and Aurum targets are summarized in tables 2 and 3 respectively.

Table 2: Aurum Deep Target drill hole intercepts

Table 3: Aurum Target historical drill hole intercepts

The conceptual size of the cigar-shaped Aurum and Aurum Deep target has been defined by recent and historical drilling and is exclusive of the 2012 resource estimate. A wireframe solid representing the Aurum and Aurum deep target was generated based on cross section and plan interpretation using current and historical drill hole data. Using an average specific gravity of 2.78, the cumulative tonnage of the Aurum and Aurum Deep targets range from 412,830 to 1,078,000 tonnes with gold grades within the zone range from an average of 1.72 g/t Au, represented by 252 samples contained within the mineralised domain, to 3.10 g/t Au, represented by nine drill hole composite intervals. The potential quantity and grade for the Aurum and Aurum Deep exploration targets is conceptual in nature.  There has been insufficient exploration to define a mineral resource and it is uncertain if further exploration will result in the target being delineated as a mineral resource.

AURUM CONNECTOR ZONE

At present, a 280-metre gap exists between the Aurum Deep and Aurum targets where additional drilling is required to determine if continuity exists between the two zones. This gap, the Aurum Connector, represents a potential target ranging from 93,000 to 194,600 tonnes at 1.72 g/t Au to 3.10 g/t Au.

QUALIFICATION

The potential quantity and grade for the Hozameen zone, Aurum, Aurum Connector and Aurum Deep targets contained in this news release are conceptual in nature.  There has been insufficient exploration to define a mineral resource and it is uncertain if further exploration will result in the target being delineated as a mineral resource.

The potential quantity and grade for the Hozameen, Aurum and Aurum Deep targets are based on a 3Dwireframe solids generated from cross section and plan interpretation of mineralization from historic and current drill holes, and from the samples and drill hole intervals of which the 3D wireframes contain. The disclosed grade and tonnage of these targets are exclusive of known mined portions of the New Carolin Mine and of resource blocks that are contained in the 2012 Resource estimate.

The basis of the potential tonnage for the Aurum Connector is based on the conceptual target having similar dimensions as the Aurum and Aurum Deep targets based on an average thickness of 4 metres, vertical extent of 30 metres, potential strike length of 280 metres and SG of 2.78.

All disclosure of scientific or technical information made herein is based upon information prepared by or under the supervision of Trevor Rabb, P.Geo. (BC), a qualified person as defined by National Instrument 43-101. Mr. Rabb has reviewed and approved the scientific or technical content of this news release as it relates to the Carolin Mine and Ladner Gold Project.

For more details regarding the Company’s Ladner Gold Project and Mineral Resources, see the Company’s National Instrument 43-101 Technical Report for the Ladner Gold Project dated May 29, 2015 (the “Company’s Technical Report”) and filed on SEDAR.

About New Carolin Gold Corp.

New Carolin Gold is a Canadian-based junior company focused on the exploration, evaluation and development of our 100% owned property consisting of 144 square kilometers of contiguous mineral claims and crown grants, collectively known as the “Ladner Gold Project” (Project). The Project is located near Hope, BC in the prospective and under-explored Coquihalla Gold Belt, which is host to several historic small gold producers including the Carolin Mine, Emancipation Mine and Pipestem Mine, and numerous gold prospects.

For additional information, please visit the Company’s website at www.newcarolingold.com.

ON BEHALF OF THE BOARD OF DIRECTORS

"Kenneth R. Holmes"

President

Phone:  (778) 379-1275

Toll Free: 1(855) 891-9185

E-mail:   [email protected]

Web site:  www.newcarolingold.com

To Receive TEXT ALERTS On New Carolin Gold TEXT " LAD " To 522-36

This news release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the “U.S. Securities Act”) or any state securities laws and may not be offered or sold within the United States or to U.S. Persons unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or the accuracy of this press release.  

Caution concerning forward-looking information

This news release may contain forward-looking statements that are based on the Company’s expectations, estimates and projections regarding its business and the economic environment in which it operates.  These statements are not guarantees of future performance and involve risks and uncertainties that are difficult to control or predict.  Therefore, actual outcomes and results may differ materially from those expressed in these forward-looking statements and readers should not place undue reliance on such statements.  Statements speak only as of the date on which they are made and the Company undertakes no obligation to update them publicly to reflect new information or the occurrence of future events or circumstances, unless otherwise required to do so by law.

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